Identify the four engineering economy symbols and their valu

Identify the four engineering economy symbols and their values from the following problem statement. Use a question mark with the symbol whose value is to be determined. Thompson Mechanical Products is planning to set aside $150,000 now for possibly replacing its large synchronous refi ner motors whenever it becomes necessary. If the replacement is not needed for 7 years, how much will the company have in its investment set-aside account, provided it achieves a rate of return of 11% per year?

Solution

let amount kept aside be P= 150000

value of investment set aside after 7 years be A= ?

time , n= 7 years

rate of return, r = 11%

A= P(1+r)ⁿ = 150000 (1+.11)⁷= 311,424.023